Which of the Following Statements Is True of the Direct

question 9

Multiple Choice

Which of the following statements is true of the direct and indirect method of preparing the statement of cash flows?

• A)The indirect method and the direct method will produce a different amount of net cash flow from investing activities.
• B)The indirect method begins with Net Income and adjusts it to net operating cash flows.
• C)The direct and indirect methods include different types of cash flows in the investing activities section.
• D)The indirect method includes all non-cash activities, whereas the direct method includes only the cash activities.

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Definitions:

Active Cell

In spreadsheet applications, the currently selected cell where data can be entered or edited.

Active Range

In computing, the active range refers to the currently selected group of cells or area in a spreadsheet where operations can be performed.

AVERAGE Function

A statistical function in spreadsheet programs that calculates the mean value among a set of numeric values.

Argument

An argument in programming and software is a value or reference passed to a function, procedure, or command line that influences its operation or outcome.